Income Tax Slabs 2025 Live: Check New Tax Regime vs Old Tax Regime changes, tax liability, standard deductions and more

Income Tax Slabs 2025: Income Tax Exemption Limits

2005: Rs 1 lakh

2012: Rs 2 lakhs

2014: Rs 2.5 lakhs

2019: Rs 5 lakhs

2023: Rs 7 lakhs

2025: Rs 12 lakhs

Income Tax Slab Live Updates: Transformation of India's personal income tax structure under Modi govt since 2014

India's personal income tax structure has seen notable reforms since the Modi government took office in 2014, with successive budgets aimed at reducing the tax burden on middle-class taxpayers. Over the past decade, key changes have included higher exemption limits, revised tax slabs, and enhanced rebates, reflecting a consistent push for tax relief.

Full report - HERE

Tax Slab 2025 Live: Save More, Spend More, and Live Better with Budget 2025

Budget 2025 prioritised three key areas: reviving consumption amid a notable slowdown, keeping inflation in check through a disciplined fiscal approach, and enhancing the ease of living by addressing everyday challenges.

One of the standout measures is effectively making an annual income of Rs. 12 lakh tax-free. Under the new tax regime, individuals earning Rs. 18 lakh per annum will receive a tax benefit of Rs. 70,000, while those earning Rs. 50 lakh per annum will benefit by Rs. 1.1 lakh. These changes aim to put more money in people’s hands, boosting both savings and spending.

Complete report - HERE

Income Tax Slab 2025: How Budget 2025 Impacts the Middle Class

Let's explore key personal tax proposals in Budget 2025 that could benefit the middle class:

Revised Tax Rates Under the New Regime

The Budget proposes changes to tax bands under the new tax regime, while the structure of the old tax regime remains unchanged.

Extended Deadline for Updated Tax Returns

Currently, taxpayers have 24 months from the end of the relevant assessment year to file an updated return. The Budget suggests extending this deadline.

Changes to TCS Threshold

At present, Tax Collected at Source (TCS) applies to remittances exceeding Rs. 7 lakh per annum under the Liberalised Remittance Scheme. The Budget aims to rationalise this threshold.

Annual Value of Self-Occupied Property

Taxpayers can currently declare the annual value of up to two self-occupied properties as NIL if the property qualifies as self-occupied if it is used as the owner's primary residence or if they are unable to occupy it due to employment, business, or professional commitments in another location.

Read the complete report - HERE

Income Tax Slabs 2025 Live: Disposable income will rise, leading to higher spending and economic growth, says Meghna Mishra, Senior Partner at Karanjawala & Co

Meghna Mishra, Senior Partner at Karanjawala & Co said that overall, this budget is highly beneficial for the middle class and senior citizens, with key measures aimed at increasing savings and boosting consumption. The increase in the TCS threshold limit from ₹7 lakh to ₹10 lakh and the doubling of the TDS threshold for senior citizens provide significant relief. Additionally, with no income tax payable up to ₹12 lakh, disposable income will rise, leading to higher spending and economic growth. These steps not only support the common man and industry but also align with the vision of a Viksit Bharat by 2047, making it a well-balanced and progressive budget.

With these strategic reforms, the government aims to create a more robust, inclusive, and future-ready economy to stimulate economic expansion and to implement and improve further the ease of business and driving economic growth a high level committee for non financial sectors is being set up. Committee to make recommendations within an year with objective of trust based economic governance and take transformational measures to enhance ease of doing business.

Income Tax Slabs 2025 Live: Know maximum amount of rebate for a taxpayer

As per the FAQ released by the Finance Ministry, the maximum rebate available for a taxpayer stands at Rs 60,000. This rebate is available for an individual earning Rs 12 lakh annually. This rebate is as per the new tax slabs

Income Tax Slabs 2025 Live: Nirmala Sitharaman is addressing media after Budget presentation

Income Tax news live, income tax calculator live:  It's a very responsive govt as a result of which income tax simplification is complete. The bill will be brought next week, says Union Finance Minister Nirmala Sitharaman

Income Tax Slabs 2025 Live: Look at taxpayers who will benefit from the income tax slab overhaul

Income Tax news live, income tax calculator live: For AY 2024-25, approximately 8.75 crore individuals have filed their Income Tax Returns (ITRs). Taxpayers opting for the new tax regime will benefit from the revised rates and slabs.

• Indian equity indices closed flat after a volatile session on Budget day, February 1. The Sensex ended marginally higher by 5.39 points (0.01%) at 77,505.96, while the Nifty declined by 26.25 points (0.11%) to close at 23,482.15. Market breadth was mixed, with 2,001 stocks advancing, 1,752 declining, and 121 remaining unchanged.
• Top losers on the Nifty included L&T, Bharat Electronics, Power Grid Corp, Grasim Industries, and Cipla, while Trent, Maruti Suzuki, Tata Consumer, Eicher Motors, and Bajaj Auto emerged as the top gainers.
• Among sectoral indices, the Consumer Durables index rose 3%, the Realty index gained 3.3%, the Auto index jumped 1.9%, the Media index climbed 2%, and the FMCG index added 3%. Conversely, Capital Goods, Power, and PSU indices fell 2-3%, while Metal, IT, and Energy sectors declined by 1-2%.
• The BSE Midcap index dropped 0.5%, whereas the Smallcap index edged up by 0.3%.

Income Tax Slabs 2025 Live: January GST collections up 12.3% YoY at Rs 1.96 lakh crore

January GST collections up 12.3% YoY at Rs 1.96 lakh crore

Income Tax Slabs 2025 Live: New framework seeks to provide financial relief to middle-income earners, says Manmeet Kaur, Partner at Karanjawala & Co.

The budget has made a welcome provision by providing zero income tax till income of Rs. 12 Lacs (12.75 lacs with 75,000/- standard deduction). The newly implemented tax structure aims to significantly alleviate the tax burden on the middle class, thereby increasing their disposable income. By reducing the tax liabilities, the new framework seeks to provide financial relief to middle-income earners, fostering economic growth and stability.

The new Income Tax Bill, likely to be introduced next week, aims at a significant overhaul of the existing tax framework. The intention is to simplify compliance for taxpayers by reducing the complexity of the current Income Tax Act of 1961. It was announced that the new act will be around 50% in size of the present Act. This simplification is expected to make the tax laws more accessible and understandable for the average taxpayer, thereby reducing disputes and litigation.

New tax regime 2025 live: Should you switch to New Tax Regime from Old Tax Regime?

Income Tax news live, income tax calculator live: The decision to opt for the new tax regime depends on your financial profile and the exemptions you can claim under the old regime. For instance, if your income is Rs 16 lakh and you claim exemptions of Rs 4 lakh, your taxable income will be reduced to Rs 12 lakh. Under the old tax regime slabs, you would pay a total of Rs 1,77,500 in income tax, which is Rs 57,000 more than the tax payable under the new regime.

New tax regime 2025 live: Did Nirmala Sitharaman say anything about Old Tax Regime?

Income Tax news live, income tax calculator live: The Budget document states that the new tax slabs apply to those opting for the New Tax Regime, reflecting the government's push to simplify personal taxation by eliminating the complexities of exemptions. Neither Finance Minister Nirmala Sitharaman nor the Budget document made any reference to changes in the old tax regime, implying that the slabs under the old regime remain unchanged.

New tax regime 2025 live: How to calculate income tax under new system?

Income Tax news live, income tax calculator live: For an annual income of Rs 16 lakh under the new tax regime, there will be no tax on the first Rs 4 lakh. Income between Rs 4 lakh and Rs 8 lakh will be taxed at 5%, amounting to Rs 20,000. The next slab, from Rs 8 lakh to Rs 12 lakh, will attract a 10% tax, totaling Rs 40,000. Finally, income between Rs 12 lakh and Rs 16 lakh will be taxed at 15%, resulting in Rs 60,000. This brings the total tax payable to Rs 1,20,000, which is Rs 50,000 less than the current tax liability.

• Smart Meters
• Solar Cells
• Imported Footwear
• Imported Candles & Tapers
• Imported Yachts & Other Vessels
• PVC Flex Films, Sheets & Banners
• Certain Imported Knitted Fabrics
• Interactive Flat Panel Displays (CBU)

• Imported Cars: Priced over $40,000 or with engine capacity above 3,000cc
• Imported Motorcycles (CBU): Engine capacity ≤ 1600cc
• Imported Motorcycles (SKD): Engine capacity ≤ 1600cc
• Imported Motorcycles (CKD): Engine capacity ≤ 1600cc
• Imported Motorcycles (CBU): Engine capacity ≥ 1600cc
• Imported Motorcycles (SKD): Engine capacity ≥ 1600cc
• Imported Motorcycles (CKD): Engine capacity ≥ 1600cc
• Imported Vehicles: For transport of 10 or more persons
• Parts of Electronic Toys
• Synthetic Flavouring Essences & Mixtures: Used in food & beverage industries
• Jewellery, Goldsmiths' & Silversmiths' Ware
• Ethernet Switches: Carrier grade

• Sanjiv Puri On CNBC-TV18
• Labour Intensive Industry Has Been Touched Upon
• Budget Was Focussed On Consumption
• Expect Interest Rates To Get Reduced & Provide Further Boost To Consumption
• There Is An Integrated & Focussed Approach On Agriculture
• Sunil Kant Munjal On CNBC-TV18
• Whole Focus Has Been On Maintaining Fiscal Deficit & Laying Out Growth Path
• Personal & Family B/S Were Impacted Due To Over-Leveraging, This Will Come Down
• Was Hoping For Higher Infra Spends
• Maintaining Fiscal Deficit Better Than Estimate; Is A Key Highlight

New tax regime 2025 live: 'Tax cuts will be catalyst for boosting consumption'

"The tax cuts announced in Budget 2025-26 will serve as a significant catalyst for boosting consumption and, in turn, employment generation. The establishment of a dedicated committee aimed at enhancing ease of doing business is particularly encouraging. This initiative will not only attract global companies but also fortify India’s startup ecosystem. From our experience as a bootstrapped success story operating in over 100 countries, we recognise how streamlined business processes can drive growth and job creation. These reforms will foster a more dynamic job market, benefiting both employers and job seekers. We are optimistic about the increased recruitment activities that these changes will spur." -  Amritanshu Anand, Co-Founder, Recruiterflow

New Tax Slab Changes Live: Why it's good news for those with two self-occupied properties

New Tax Slab Changes Live: What Budget Memorandum says on tax rebate

According to the Budget Memorandum, the income limit for rebate under Section 87A has been increased from Rs 7,00,000 to Rs 12,00,000 for taxpayers under Section 115BAC(1A). Additionally, the rebate amount under clause (a) of the first proviso to Section 87A has been raised from Rs 25,000 to Rs 60,000.

New Tax Slab Changes Live: How many taxpayers will get relief from Union Budget announcements

Income Tax news live, income tax calculator live: Nearly 85% of 7.5 crore tax return filers to get relief as government provides tax relief to those earning till Rs 12 lakh

• New income tax bill to be tabled next week
• TDS limit on senior citizens’ deposit interest raised to Rs 1 lakh
• TDS threshold on rent increased to Rs 6 lakh from Rs 2.4 lakh
• TCS on LRS increased to Rs 10 lakh from Rs 7 lakh
• TCS on remittance for education is withdrawn, if loans taken from financial institutions
• Higher TDS will apply only in non-PAN cases

• Senior and very senior citizens - Proposal to withdraw NSS as exempt
• Timeline for filing updated returns extended from two to four years. Rs 90 lakhs taxpayers have filed updated returns and paid tax.
• Revamped central KYC registry to be launched in 2025

New Tax Slab Changes Live:'Government has lowered the tax liability under the Income tax'

Income Tax news live, income tax calculator live: Government has lowered the tax liability under the Income tax. Under the old regime, the nil tax slab has been raised from Rs 7 lakh earlier to Rs 12 lakh. Under the new tax regime, tax slabs and liability has been lowered providing benefit of Rs 70,000 to Rs 1.1 lakh for income earners in Rs 12 lakh to Rs 25 lakh bracket. Lower taxes would increase disposable incomes in hands of consumers. This is positive for discretionary consumption plays such as Trent Limited, Aditya Birla Fashion & Retail in apparel; Metro Brands, Campus Activewear in footwear; quick service restaurant companies such as Jubilant Foodworks, Devyani International as well as jewellery stocks like Senco Gold, Titan Company and Goldiam International, Bharat Gianani, Research Analyst, Moneycontrol Research

New Tax Slab Changes Live: Big boost to the middle class

Income Tax news live, income tax calculator live:  Finance Minister Nirmala Sitharaman provided relief to individual taxpayers by raising the income tax rebate limit from Rs 7 lakh to Rs 12 lakh. This rebate applies to resident Indian taxpayers, ensuring that salaried individuals earning up to Rs 12.75 lakh will now be exempt from paying income tax. Additionally, the minister announced a revision of tax slabs under the new regime, offering a significant savings boost to the middle class.

Income Tax Slabs 2025 Live: Income Tax Exemption Limits

2005: Rs 1 lakh

2012: Rs 2 lakhs

2014: Rs 2.5 lakhs

2019: Rs 5 lakhs

2023: Rs 7 lakhs

2025: Rs 12 lakhs

• FM: No income tax upto income of Rs 12 lakh
• FM's income tax announcement receives resounding claps from the House
• FM's income tax cut is seemingly a direct boost to consumption and savings and investments
• Tax rate structures under new tax regime revised

Income Tax Budget 2025 Live: FM talks about 3Ds as such announces in come

Democracy, demography and demand are key support pillars, as FM announces Personal Income Tax reforms

• Income Tax news live, income tax calculator live: TCS on remittance for education is removed - out of loan taken from specified financial institutions
• To streamlining transfer pricing, Scheme for Arms Length Price for international transactions for three years
• FM propose to exempt withdrawals made under National Savings Scheme (NSS) accounts from tax.

• Nirmala Sitharaman proposes to rationalise TDS
• Personal income tax reforms with focus on middle class, says Sitharaman
• TDS threshold from Rs 50,000 to Rs 1 lakh for senior citizens
• FM says that she will come to announcements around personal income tax at the end

Income Tax Budget 2025 Live: Sitharaman proposes Jan Vishwas Bill 2.0

Income Tax news live, income tax calculator live: In her Budget 2025-26 speech, Finance Minister Nirmala Sitharaman highlighted that the Jan Vishwas Act 2023 had decriminalised over 180 legal provisions. She further announced that the government will introduce the Jan Vishwas Bill 2.0, which aims to decriminalise an additional 100 provisions across various laws.

Income Tax Budget 2025 Live: As a part of review, Sitharaman propose to remove 7 tariff Customs rates

As a part of review, propose to remove 7 tariff Customs rates

• Old Tax Regime:
• Tax Slabs for Individuals Under 60:
• Up to Rs 2.5 lakh: 0%
• Rs 2.5 lakh to Rs 5 lakh: 5%
• Rs 5 lakh to Rs 10 lakh: 20%
• Above Rs 10 lakh: 30%
• Available Deductions:
• Section 80C: Up to Rs 1.5 lakh for investments in Provident Fund (PF), Equity Linked Savings Scheme (ELSS), LIC premiums, etc.
• Section 80D: Up to Rs 25,000 for health insurance premiums (Rs 50,000 for senior citizens).
• House Rent Allowance (HRA): Available for salaried individuals paying rent.
• Section 24(b): Up to Rs 2 lakh deduction for home loan interest.
• New Tax Regime: Tax Slabs:
• Up to Rs 3 lakh: NIL
• Rs 3 lakh to Rs 6 lakh: 5%
• Rs 6 lakh to Rs 9 lakh: 10%
• Rs 9 lakh to Rs 12 lakh: 15%
• Rs 12 lakh to Rs 15 lakh: 20%
• Above Rs 15 lakh: 30%
• Key Features and Recent Changes:
• Offers a simplified structure with reduced rates but does not allow for deductions.In the 2024 Budget, the standard deduction limit was increased from ₹50,000 to Rs 75,000.The tax benefit on employers' contributions to employees' National Pension System (NPS) was raised from 10% to 14%.Adjustments to tax slabs resulted in a tax savings of Rs 17,500 for salaried individuals.

Income Tax Budget 2025 Live: Sitharaman proposes to introduce new Income Tax bill next week

Income Tax news live, income tax calculator live: In her budget speech, Sitharaman proposes to introduce new Income Tax bill next week. She also said that 'Tax department will trust first, scrutinise later.'

Income Tax Budget 2025 Live: Know income tax rates range in Germany

Income Tax news live, income tax calculator live: In Germany, the maximum income tax rate is 45%. This rate applies to married individuals earning above 555,652 euros (approximately Rs 5 crore) and to single taxpayers with incomes exceeding 277,826 euros (roughly Rs 2.5 crore).

Income Tax Budget 2025 Live: Know income tax rates range in the UK

Income Tax news live, income tax calculator live: In the UK, income tax rates range from 0% to 45%, with those earning over £125K expected to pay more than 45%. In Scotland, which is part of the UK, the tax rates are slightly higher. According to the British government's official portal, Scottish tax starts at 19% for earnings above £12,571, with the maximum rate reaching 48% on income over £125,140 (approximately Rs 1.37 crore). For individuals earning between £75K and £125K, the tax rate is 45%.

Income Tax Budget 2025 Live: Check out income tax rate in the US

Income Tax news live, income tax calculator live:  As we wait for Part B announcements, here's a look at how taxpayers are levied in other countries. According to the latest figures on IRS.gov, tax rates range from 10% to 37% depending on your income. The highest rate of 37% is applied to earnings exceeding $609K (approximately ₹5.3 crore), while individuals earning up to $58,000 are taxed at a maximum rate of 22%.

Income Tax Budget 2025 Live: Know key deductions under new tax regime

Income Tax news live, income tax calculator live: Experts predict that middle-class taxpayers are looking forward to several exemptions and deductions being introduced under the new regime. They hope for an increase in the Section 80C limit to allow deductions of up to Rs 2 lakhs for expenses such as life insurance premiums and employees' Provident Fund contributions. Under Section 80D, they expect the deduction for health insurance premiums for self and family to be extended up to Rs 1 lakh, which would help address the rising costs of medical care. Additionally, experts suggest that Section 80TTB should include a deduction of up to Rs 50,000 for senior citizens earning interest from deposits with banks, post offices, and similar institutions. Finally, they propose that Section 10(13A) be revised to enable salaried taxpayers to claim HRA deductions for rental expenditures under the new tax regime.

Income Tax Budget 2025 Live: Big update shortly!

Income Tax news live, income tax calculator live: The finance minister has confirmed what everyone was anticipating from this Budget. In her speech, she has just now spoken on focus on regulatory reforms and taxation. Stay with us for big tax update!

Income Tax Budget 2025 Live: Middle class remains hopeful

Income Tax news live, income tax calculator live:  Taxpayers, especially those in the lower middle-income bracket, could see some relief in Finance Minister Nirmala Sitharaman's Budget on Saturday, as the government aims to boost consumption and revive a struggling economy, according to Deloitte India economist Rumki Majumdar. She expects that the finance minister will offer tax relief for individuals who have opted for the new tax regime—which provides no exemptions but uses a higher tax base—particularly benefiting those earning between Rs 7 lakh and Rs 10 lakh annually.

Income Tax Budget 2025 Live: Will banks increase exposure to KCC Loans?

Income Tax news live, income tax calculator live: Loans taken through KCC to be increased from Rs 3 lakhs to Rs 5. However, KCC loans have seen prolonged stress for the last three quarters. Will banks increase exposure to KCC Loans under such circumstances would be interesting to watch. - Hamsini Karthik, MC

• Income Tax news live, income tax calculator live: In her address yesterday, President Draupadi Murmu announced that an additional 3 crore families will receive houses under the PM Awas Yojana, with the government allocating Rs 5,36,000 crore for the initiative. The flagship housing scheme, applicable to both rural and urban areas, outlines specific eligibility criteria for securing a home loan at a subsidized interest rate under PM Awas Yojana (Urban):
• Family Income Bracket:
• Economically Weaker Section (EWS): Households with an annual income of up to Rs 3,00,000.
• Low Income Group (LIG): Households with an annual income between Rs 3,00,001 and Rs 6,00,000.
• Middle Income Group-1 (MIG-1): Households with an annual income between Rs 6,00,001 and Rs 12,00,000.
• Middle Income Group-2 (MIG-2): Households with an annual income between Rs 12,00,001 and Rs 18,00,000.
• Property Ownership: The applicant or any family member should not own a pucca house anywhere in the country.
• Family Composition: The family must consist of a husband or wife along with their unmarried children.
• These criteria are designed to ensure that the benefits of the PM Awas Yojana are extended to those who need them most.

Income Tax Budget 2025 Live: What happens to deductions under Section 80C

Income Tax news live, income tax calculator live: Section 80C of the Income Tax Act provides a total deduction limit of Rs 1,50,000 for various investment and insurance-related expenses. This includes payments for life insurance premiums, contributions to provident funds along with Equity Linked Savings Schemes (ELSS), and investments in National Savings Certificates. Additionally, expenses such as the principal repayment on a housing loan, deposits made into the Public Provident Fund (PPF) or the National Pension Scheme (NPS), as well as contributions toward an annuity plan offered by LIC or other insurers for pension schemes, are also eligible for deduction under this section.

Income Tax Budget 2025 Live: Calls for additional deduction of Rs 50,000 for NPS under New Tax Regime

Income Tax news live, income tax calculator live: At present, the new tax regime only offers corporate NPS deduction (employers' contribution to employees' NPS of up to 14 percent of basic pay) that benefits salaried employees. There are calls for introducing an additional deduction of up to Rs 50,000 for NPS under the new regime in order to provide relief to self-employed individuals. - Preeti Kulkarni, Associate Editor, Moneycontrol

Income Tax Budget 2025 Live: All eyes on Part B of Union Budget

Income Tax news live, income tax calculator live: All eyes will be on Finance Minister when she presents Part B of the budget on Taxation. Will banks be lucky at least this time around as they have lobbied for a tax break on Deposit income for a third time in a row. Will this help them garner more deposits? - Hamsini Karthik, Editor- BFSI, Moneycontrol